According to the recent preliminary report released by Destatis, the local consumer prices in Germany continued its growth in June. The experts report that energy carriers are dropping in price much slower.
The consumer price index came in at 0.1% in June. Still, May’s figures cam in at 0.3%. As we can see, this is a considerable slowdown. Despite the fact that the index failed to come up to expectations (0.2%), this is the second consecutive month of growth we can see there.
As for the year-over-year consumer inflation in June, it reached 0.3%. This was an increase against May’s 0.1%. The actual figures matched the forecast.
Despite the overall price growth, energy prices dropped by 6.4% in June. Still, this is a slowdown relative to May’s 7,9% price drop. Food price inflation remained unchanged at 0.1% over the same reporting period. The revised report on consumer inflation is expected to come out on July 12, 2016.
FOREX
Masterforex-V Academy reports that the common European currency is still going down with a strong bearish momentum against the U.S. Dollar triggered by the result of the recent Brexit referendum in the U.K. For now, EURUSD is forming wave A/B of level Weekly. There is a minor move – wave b(C ) inside of it.
On breaking below the 1.0911 low, the price is going to continue the downtrend. The closest levels of support are 1.0821, 1.0899, 1.0789/79.
A break above the top of the descending MF sloping channel and MF pivot 1.1427 is going to complete the downtrend and reverse the market bias in the bulls’ favor.
